Holger Zschäpitz is senior editor of the financial desk and market maniac at @Welt and Author of 'Schulden ohne Sühne?' a book on states' addictiveness to debt.
Diversity instead of optimal currency area: ECB said it is accepting Bulgaria & Croatia to Exchange Rate Mechanism II, mandatory training grounds for euro adoption. Bulgarian lev set at 1€=1.95583 (like former DEM), while Croatian kuna set 1€=7.53450, w/fluctuation band of 15%.
Party like its 1999: Nasdaq closed at fresh ATH after a weekly run of 4%.
#Tesla shares went ballistic this evening. Jumps >1.5k w/some believing the comp could report a 4th consecutive GAAP profit and thus be eligible to enter the S&P 500 index. Mkt cap now $287bn, more than 3 times VW's mkt cap.
Tesla's Elon Musk is now richer than Warren Buffett: The 49y old owns about a fifth of Tesla’s outstanding stock, which comprises the bulk of his $70.5bn fortune. His majority ownership of closely held Space-X accounts for $15bn.
Good Morning from #Germany which has the largest democratic parliament in the world. Current Bundestag has 709 members, 111 more than envisaged, due to mixed-member proportional representation. It combines elements of majority vote and proportional representation.
It looks like this year that Main St (retail investor) will beat Wall St (institutional investors) in the markets. Goldman Sachs Retail Basket w/Robinhood Favs has gained +24%Ytd while Dow Jones down -8% YTD.
Here's proof that the pull of the crisis-plagued euro is proving hard to resist, at least if you are #Bulgaria or #Croatia . Poland, Hungary, Czech, Denmark, Sweden prefer to stay outside. Euro-area expansion comes with risks for them and the #ECB .
Big Tech is eating the world: Combined mkt cap of #FANGMAN (Facebook, Amazon, Netflix, Google, Microsoft, Apple, Nvidia) tops $7tn this week, equal to combined GDP of #Germany , #Italy and #Indonesia .
The end of capitalism as we know it: G3 Central Banks (Fed, BoJ, ECB) have pumped more than $5tn into the markets since March. They bought all kinds of assets, a kind of nationalization through the back door?
German Chancellor Merkel holds phone call with Spanish PM Rajoy as Catalan govt says 465 people injured by police forces.
OUCH! Kuwait suspends trading in premier market as Index drops 10%.
Just to put things into perspective: FANGMAN (Facebook + Amazon + Google + Microsoft + Apple + Nvidia) mkt cap has just hit a fresh All-time high at $6.1tn, equal to the combined GDP of #Germany and #Italy .
Ouch! Italians are poorer today than before the introduction of the euro. It is the only major economy in the euro zone where per capita personal disposable income is below the 1998 level. (Chart via @Lombard_Street )